FY2025 EPS Estimates for Navient Lowered by Seaport Res Ptn

Key Points

• Seaport Res Ptn has reduced its FY2025 earnings estimate for Navient to $1.05 per share, down from $1.15, while the consensus estimate stands at $1.04.
• Despite a positive quarterly earnings report, Navient's shares have declined 1.9% and the company has faced mixed analyst ratings, with a consensus rating of "Hold."
• Navient recently declared a quarterly dividend of $0.16 per share, resulting in an annualized dividend yield of 4.64% despite a payout ratio of 128%.

Navient Corporation (NASDAQ:NAVI - Free Report) - Seaport Res Ptn reduced their FY2025 earnings estimates for shares of Navient in a note issued to investors on Monday, July 28th. Seaport Res Ptn analyst W. Ryan now forecasts that the credit services provider will earn $1.05 per share for the year, down from their prior forecast of $1.15. The consensus estimate for Navient's current full-year earnings is $1.04 per share.

Several other research analysts also recently weighed in on the stock. Morgan Stanley lowered their price objective on shares of Navient from $15.00 to $14.00 and set an "equal weight" rating on the stock in a report on Thursday. TD Securities upped their target price on shares of Navient from $11.00 to $12.00 and gave the stock a "sell" rating in a report on Thursday, May 1st. JPMorgan Chase & Co. boosted their price objective on Navient from $12.50 to $15.50 and gave the stock a "neutral" rating in a report on Friday, July 11th. TD Cowen lowered Navient from a "hold" rating to a "strong sell" rating in a report on Thursday, May 1st. Finally, Keefe, Bruyette & Woods cut their target price on Navient from $16.50 to $15.00 and set a "market perform" rating on the stock in a research report on Thursday. Three research analysts have rated the stock with a sell rating, six have given a hold rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $13.56.

Navient Stock Down 2.2%

NASDAQ NAVI traded down $0.28 during mid-day trading on Wednesday, hitting $12.66. The company's stock had a trading volume of 936,068 shares, compared to its average volume of 1,126,263. The firm has a market capitalization of $1.28 billion, a price-to-earnings ratio of 40.84 and a beta of 1.37. The company's 50 day simple moving average is $13.99 and its 200 day simple moving average is $13.42. The company has a current ratio of 9.94, a quick ratio of 9.88 and a debt-to-equity ratio of 16.52. Navient has a twelve month low of $10.53 and a twelve month high of $16.97.

Navient (NASDAQ:NAVI - Get Free Report) last announced its quarterly earnings data on Wednesday, July 30th. The credit services provider reported $0.21 EPS for the quarter, missing analysts' consensus estimates of $0.27 by ($0.06). The firm had revenue of $156.00 million during the quarter, compared to analyst estimates of $156.20 million. Navient had a net margin of 0.89% and a return on equity of 4.08%. During the same period last year, the business posted $0.29 EPS.

Hedge Funds Weigh In On Navient

Several institutional investors have recently added to or reduced their stakes in NAVI. Orbis Allan Gray Ltd boosted its stake in Navient by 29.7% in the first quarter. Orbis Allan Gray Ltd now owns 2,311,785 shares of the credit services provider's stock valued at $29,198,000 after acquiring an additional 528,716 shares during the last quarter. American Century Companies Inc. lifted its stake in Navient by 7.3% in the first quarter. American Century Companies Inc. now owns 1,954,896 shares of the credit services provider's stock valued at $24,690,000 after purchasing an additional 132,313 shares during the last quarter. Northern Trust Corp grew its holdings in Navient by 14.6% during the fourth quarter. Northern Trust Corp now owns 1,567,466 shares of the credit services provider's stock valued at $20,832,000 after purchasing an additional 199,937 shares during the period. Wellington Management Group LLP grew its holdings in Navient by 10.9% during the first quarter. Wellington Management Group LLP now owns 1,459,166 shares of the credit services provider's stock valued at $18,429,000 after purchasing an additional 143,325 shares during the period. Finally, Charles Schwab Investment Management Inc. increased its position in Navient by 32.6% in the first quarter. Charles Schwab Investment Management Inc. now owns 1,439,903 shares of the credit services provider's stock worth $18,186,000 after buying an additional 353,898 shares during the last quarter. Institutional investors own 97.14% of the company's stock.

Navient Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, June 20th. Investors of record on Friday, June 6th were issued a $0.16 dividend. This represents a $0.64 dividend on an annualized basis and a dividend yield of 5.1%. The ex-dividend date of this dividend was Friday, June 6th. Navient's payout ratio is 206.45%.

Navient Company Profile

Navient Corporation provides technology-enabled education finance and business processing solutions for education, health care, and government clients in the United States. It operates through three segments: Federal Education Loans, Consumer Lending, and Business Processing. The company owns Federal Family Education Loan Program (FFELP) loans that are insured or guaranteed by state or not-for-profit agencies; and performs servicing on its portfolios, as well as federal education loans held by other institutions.